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Is the amount charged for the federal excise tax (FET) included in the tax base for calculating sales tax?

April 26, 2017base calculating charged Federal FET included tax

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Is the amount charged for the federal excise tax (FET) included in the tax base for calculating sales tax?

1 Answer

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10 Posted

NO. This is a 12 percent federal excise tax, which is required to be collected by a motor vehicle dealer when the dealer sells a heavy truck. Since it is a direct tax on the purchaser, it is not part of the tax base for collecting sales tax.